June 18, 2021

Volume XI, Number 169

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IMMEX Highlights – Compliance with Annual Operations Report Requirement

Among the obligations that IMMEX companies need to fulfill to be in compliance with their Program authorizations, they must carry out annual export sales greater than USD $500,000 or representing at least 10% of their total sales.

For purposes of verifying compliance with such obligation, IMMEX companies are required to electronically submit before the Mexican Ministry of Economy, an Annual Operations Report informing of their total amount of sales and exportations for the immediately preceding tax year (in Mexico fiscal years run from January to December), no later than the last business day of May.

IMMEX companies must keep all the documents and records pertaining to the above-mentioned report for up to five years (statute of limitations according to the Mexican Federal Tax Code).

Failure to submit their Annual Operations Report would allow the Ministry of Economy to suspend the benefits of the IMMEX Program, as well as to initiate a cancellation procedure, and eventually to cancel the Program. Moreover, failure to meet the annual exports sales threshold would also lead to the cancellation of the Program.

Due to the COVID-19 pandemic and the shut downs of non-essential businesses and activities that occurred in Mexico during 2020, the Mexican Ministry of Economy has recently announced that, for purposes of the 2020 Annual Operations Report to be filed in May of 2021, IMMEX companies will be exempted from meeting the export sales threshold with respect to the 2020 fiscal year.

© 2021 Foley & Lardner LLPNational Law Review, Volume XI, Number 47
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Marcos Carrasco Menchaca International Trade Attorney
Partner

Marcos Carrasco-Menchaca provides advisory and consulting services related to international trade compliance, customs, free trade agreements, customs litigation and taxation on foreign trade, as well as rendering services in international business transactions and administrative litigation.

Marcos has broad experience in advising the implementation of governmental exportation programs, such as the registration of companies in the Mexican Maquila Program (IMMEX), VAT certification, Sectorial Promotion Programs (PROSEC) and Drawback, among others.

A recognized international...

52 55 5284 8546
Alejandro Nemo Gomez Strozzi, Foley Lardner Law Firm, Mexico, Corporate Law Attorney
Partner

Alejandro Gómez-Strozzi focuses his practice on providing advisory and consulting services related to international trade compliance, antidumping, customs, foreign trade and Mexican administrative law.

As a top international trade lawyer, he has advised major multinational companies in the automotive, steel and consumer products sectors. He provides advice regarding available foreign trade programs, tax implications of foreign trade operations, implementation of free trade agreements entered into by Mexico, customs procedures, trade compliance...

5255-5284-8561
Erika Padilla Foley Gardere Arena in Mexico City Transactions Corporate
Associate

Erika Padilla is an associate at Foley Gardere Arena in Mexico City. She has experience in tax and customs litigation and controversy, representation before tax and customs authorities, corporate and international taxation (tax planning and consulting). She also has corporate counsel experience with knowledge in the legal needs of a corporation from the inside, such as drafting, reviewing and negotiating all types of contracts and legal documents, including finance and banking agreements, providing legal advice to the commercial and investment departments and developing the organization’s...

52-55-5284-8546
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